EV Depreciation

My journey profile is irrelevant. You referenced high domestic electricity prices but you can get 100kms for €1 in an EV at the moment.

That's for nothing, it really is. Could be €10 in an ICE.

I was merely rebutting your incorrect claim about high domestic electricity prices, nothing more.

Thats fine.

In my experience public charging station prices went up in recent years. Regards domestic rates, you probably have a charging station which also means an investment.

Overall the upfront cost of EVs are higher than ICEs.

And its not for eveyone. A poster on this thread referenced the fact its only the high earning management who have EVs currently.

Tbh EVs are still struggling to become mainstream. Thats a problem.

I wouldn't be so sure. I read today that Audi are pausing EV for the time being based on sluggish sales of new cars. Fewer new car sales will be a problem as it also means fewer second hand cars down the line.

Cost and popularity are directly linked. Economics 101.

The only spoofer on this thread is you pal.

I will help you out.

Take your time reading it.

Read it here

https://www.telegraph.co.uk/business/2023/12/18/audi-hits-brakes-ev-electric-cars-rollout/

In 2023, we've seen massive price cuts in recent weeks from Volkswagen and earlier this year from Tesla. We've also seen new entrants to the market from China in the form of BYD, with more expected to follow.

I think most of us are expecting price cuts from any of those legacy manufacturers who haven't cut yet? What are your thoughts?

I also believe we may see further cuts from Tesla in 2024.

The main goal of project Highland was to reduce production costs. It's now cheaper for Tesla to manufacture a Model 3 than it was when current pricing was set. The reductions here exclude lithium costs, which Tesla have no control over.

Now we move onto lithium. In some 2022 articles I've read, the suggestions is that battery costs make up 40% of a new vehicle cost and the minerals within those batteries make up about 60% of battery cost. Taken together, we can estimate that lithium makes up about 24% of total vehicle cost.

If we look at the price of Lithium, it's dropped 80% since Tesla's price cut in January (and a whopping 40% since just October).

So, with project Highland reducing manufacturing costs by, and I'm speculating here as I don't have the exact figure, 10% and the price drop of lithium contributing a further 19% (80% drop of 24% of the cost), Tesla's cost to manufacture since they set current prices has dropped by close to 30%.

With the recent ID4 cuts bringing the Germans back into a price range where people are less tempted to jump from the EU brands they've been loyal to for decades, I see no reason why Tesla couldn't hit the market with a further price cut and make it, once again, the case that you'd be absolutely mad to consider an ID4 over a Model 3/Y.

Whether they make this move or not, and whether VW stick with the recent price drops, will be a major factor in determining whether the Model Y or ID4 is the world's best selling car in 2024 - and Musks goal has always been for the Model Y to hold that honour.

I think we can apply a bit more logic to it than forecasting lotto numbers to be honest 😂

It's becoming a much more competitive market with BYD entering and others on their heels.

A manufacturer in a competitive market, when production costs drop by 30%, is never going to be able to add that 30% to their bottom line indefinitely.

More anti-EV rhetoric from another blow-in/casual visitor to the forum.

Yes, they're expensive, but hello - equivalent ICE vehicles are also just as expensive. In fact an Enyaq I looked at recently was a few grand cheaper than the equivalent-spec Kodiaq, so it does get you thinking alright.

Cars full stop are expensive and have shot up in price since Covid.

However earnings have also shot up since Covid, unless you're unlucky. When earnings go up and disposable income goes up, then discretionary purchases typically rise in price to match.

If you've got left behind a bit @tobefrank321 I'm sorry

New ICE is nuts and I do wonder about it. Friend has a 2021 Tiguan diesel on PCP. Due change in 24. GFMV or whatever is 18k or something and it was 43k in 2021. Replacement one coming in about 53k and I dodn't know what price the new new 2024 model is. His 2021 are being listed at 40k today

I'm probably totally wrong here but I think manufacturuers have inflated ICE prices to capiltalise on the global post covid used prices and that used ICE are now artificially inflated also. Of course for many its just the cost to change so you get a big bump on your GFMV, lob in a few k extra and your payments stay similar everyione is happy. However that traded in one is in my opinion way over priced and eventually will be corrected. I told him to buy it out at the 18k and carry one for another two or three years as I do beieve ICE has to correct pricing to stay in play for a lot of people not just teh long distance users.

This is not about me. I'm sorry you can't understand that but its your problem, not mine. And I'm not inclined to help you with it.

Its head in the sand stuff if you can't understand why EVs are struggling to become mainstream.

Price is one factor. There's a myriad of others. Converting to EVs is not as simple as converting to a cashless society for example. Its far more complex, both for society and for the range of people involved.

Fast chargers are a long way from being as common as your normal petrol/deisel service station. Every small town in Ireland has a traditional service station. How many have fast chargers?

Range anxiety is still a factor. Price also. Up front costs. Different apps for different chargers.

Good luck to the early adoptors etc. So far they are in the minority and a large proportion of the population are struggling to get on board for many of the reasons mentioned.

And having a go at people who can't or won't get on board is not helpful.